Education leaders and school district superintendents responded furiously to Gov. Arnold Schwarzenegger's budget plans Thursday, saying that the proposals would gut funding guarantees that have protected schools for more than a decade.
Schwarzenegger is expected to propose a state constitutional amendment to alter Proposition 98, approved by voters in 1988 to ensure that schools and community colleges receive at least 40% of state spending each year.
Proposition 98 has served as a financial buoy for schools, establishing a statewide funding base that rises when the economy is strong.
It has also allowed the state to hold back school funding when revenues slump, with the requirement of paying back the money. Those funds become part of the state's minimum obligation to schools in future years.
Schwarzenegger's plans would eliminate protections and could strip billions of dollars from schools, education groups said.
School district leaders warned of dire consequences, including school closures, layoffs, larger classes, fewer buses and requiring school employees to pay more of their healthcare costs.
A report released this week by the Rand Corp. underscored educators' concerns: It showed that California's level of funding per pupil has fallen below the national average for nearly three decades.
"It's a terribly serious undermining of public education," Los Angeles schools Supt. Roy Romer said. "You will put public education in the state of California on a roller coaster that depends on what happens with the governor and Legislature each year."
But administration officials said the governor's proposals would put an end to political leaders raiding education funds to help balance the budget. Schwarzenegger and the Legislature took such action last year, diverting $2 billion originally earmarked for education spending.
Altering Proposition 98 is part of Schwarzenegger's broader plan to make across-the-board budget cuts in state spending if legislators can't resolve future deficits.
H.D. Palmer, deputy finance director of the state Department of Finance, said education would suffer the same degree of cuts as other agencies instead of falling victim to deeper reductions.
"I think when [educators] find out what's in the budget, they will be pleasantly surprised to learn that the governor's proposals ... will eliminate the ability of the Legislature or the governor to borrow from education," Palmer said.
